Rent-seeking, spillovers and the benefits of decentralization

A-Tier
Journal: Journal of Urban Economics
Year: 2008
Volume: 63
Issue: 1
Pages: 217-228

Score contribution per author:

4.036 = (α=2.02 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

In the presence of spillovers, decentralized provision of local public goods may lead to a higher surplus than centralized provision even though localities have identical preferences. Indeed, free-riding costs associated to decentralization can be lower than the costs of rent-seeking and influence activities under centralization. Actually, centralization yields a higher level of regional surplus only if both the spillover effect from local public spending is sufficiently large and the elasticity of the influence function is sufficiently small.

Technical Details

RePEc Handle
repec:eee:juecon:v:63:y:2008:i:1:p:217-228
Journal Field
Urban/Geographic
Author Count
1
Added to Database
2026-01-25